Are we going to witness an historical housing price correction amid sharpest rise in unemployment and social tension?...and the minimum you should know in order to protect yourself from this downturn from an economic, stock market and political point of view... with a pinch of humor and sarcasm.

Tuesday, 20 January 2009

Warren Buffet: "U.S. in Economical Pearl Harbour"

"Buffett declined to predict how long the economy will remain under duress, except to say that he doesn’t expect a recovery to take five years.

He contrasted the current economic crisis with the period “three or four years ago,” when “everybody lent you more and more on a house that kept going up, and you could keep spending money you didn’t have.”"

"Buffett said the economic slump is the worst since World War II, though not as severe as the Great Depression.

He said “it’s never paid to bet against America,” and that the country would come through the crisis. “But it’s not always a smooth ride.” "

Warren is a little bit more bearish compare to the view it took back in October 2008. I suppose no-one could have predicted the force of this financial crisis.